Card Range To Study

23 Cards in this Set

A logical integration of techniques for gathering and using information to make planning and control decisions, for motivating employee behavior, and for evaluating performance

Key Success Factor

Characteristics or attributes that managers must achieve in order to drive the organization toward its goals

Responsibility Center

A set of activities and resources assigned to a manager, a group of managers, or other employees

Responsibility Accounting

Identifying what parts of the organization have primary responsibility for each action, developing performance measures and targets, and designing reports of these measures by responsibility center

Cost Center

A responsibility center in which managers are responsibile for costs only

Profit Center

A responsibility center in which managers are responsible for revenues as well as costs (or expenses) - that is, profitability

Investment Center

A responsibility center whose success depends on both income and invested capital, perhaps measured by a ratio of income to the value of the capital employed

Goal Congruence

A condition where employees, working in their own personal interests, make decisions that help meet the overall goals of the organization

Managerial Effort

Exertion toward a goal or objective including all conscious actions (such as supervising, planning, and thinking) that result in more efficiency and effectiveness

Motivation

The drive for some selected goal that creates effort and action toward that goal

Uncontrollable Cost

Any cost that the management of a responsibility center cannot affect within a given time span

Controllable Cost

Any cost that a manager's decisions and actions can influence

Segments

Responsibility centers for which a company develops separate measures of revenues and costs

Balanced Scorecard

A performance measurement and reporting system that strikes a balance between financial and operating measures, links performance to rewards, and gives explicit recognition to the diversity of organizational goals

Key Performance Indicators

Measures that drive the organization to achieve its goals

Quality Control

The effort to ensure that products and services perform to customer requirements

Cost of Qualtiy Report

A report that displays the financial impact of quality

Total Quality Management (TQM)

An approach to quality that focuses on prevention of defects and on customer satisfaction

Quality-Control Chart

The statistical plot of measures of various product dimensions or attributes

Six Sigma

An analytical method aimed at achieving near-perfect results on a production line

Cycle Time (Throughput Time)

The time taken to complete a product or service, or any of the components of a product or service

Productivity

A measure of outputs divided by inputs

Throughput Time

The time taken to complete a product or service, or any of the components of a product or service